The tide is changing as the big pockets of Google have attracted some Hollywood love, which just might save the YouTube from falling to obscurity. Lions Gate Entertainment has signed a revenue sharing deal. The early details are a little sketchy as Lions Gate has movies and television shows under their production. The early buzz is there will be a Lions Gate channel on YouTube. The Loins Gate content would be mostly promotional and short clips, with a future eye on moving toward pay for content full length video. This is a great score for YouTube as they will not get any content from Viacom product as long as the lawsuit is open. Google/YouTube could not decide how to turn over Information. This also spells a problem for Hulu as they were trying to corner this market share. Hulu must have thought between the lawsuit with Vaicom, and the strange array of videos on YouTube this type of deal would never happen. This is a big score for Google to keep this huge acquisition viable, because if they were stuck with just homemade videos it more than likely will be a Netscape style collapse. The other question is will there be any profit in the alliance as paying YouTube is not something people are used to doing.
But times are hard and thrills are cheaper
As your arms get shorter your pockets get deeper
W. Axl Rose 1991
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